SCHENECTADY, N.Y.
Jul 22, 2004

Authentidate, Inc., a subsidiary of Authentidate Holding Corp. (Nasdaq: ADAT), and the technical provider of the United States Postal Service(R) Electronic Postmark(R) (USPS EPM(R)), announced today that e-mail using the USPS EPM service has been added to South Carolina's recently adopted Uniform Electronic Transactions Act (UETA), as an alternative to Certified or Registered U.S. Mail for certain types of electronic communications, and will carry the same force of law and legal effect as those physical mail services.

UETA is a model code that states may adopt to provide a legal framework for electronic transactions, and gives electronic signatures and records the same validity and enforceability as manual signatures and paper-based transactions. Incorporated within South Carolina's version of the UETA statute, the USPS EPM service provides a compelling value to further trusted electronic communications.

The South Carolina legislation (H* 4720 Uniform Electronic Transaction Act available at www.scstatehouse.net) states that the "United States Postal Service Electronic Postmark means an electronic service provided by the United States Postal Service that provides evidentiary proof that an electronic document existed in a certain form at a certain time and the electronic document was opened or the contents of the electronic document were displayed at a time and date documented by the United States Post Office." The legislation also states that the "South Carolina Budget and Control Board shall devise policies and procedures for the use of the United States Postal Service Electronic Postmark in respect to state agencies and operations."

An example of a strategic benefit that the USPS EPM provides within this new legislation is that it allows individuals or corporations to serve process for law suits electronically on corporations, partnerships or other unincorporated associations whose e-mail addresses are registered with the secretary of state. This new electronic means of serving process using the USPS EPM will help to eliminate paper and improve communication between the courts, state agencies and businesses, streamline the judicial process and better serve the South Carolina community.

About Authentidate Holding Corp.

Authentidate Holding Corp. (AHC) is the holding company of five business units; DocStar, Authentidate International AG, Authentidate, Inc., DJS Marketing Group/Computer Professionals International and Trac Medical Solutions, Inc. DocStar sells proprietary document imaging software that includes the Authentidate technology. Authentidate and Authentidate AG provide the authentication of digital data through its proprietary and patent pending technology. Authentidate intends to establish itself as the authority on "content security" as it is a growing sector of the electronic network security infrastructure market. DJS delivers professional services centered around technology systems integration projects, staff augmentation, out-tasking, outsourcing services and resells computer related products. Trac Medical offers an electronic form processing solution and utilizes the Authentidate technology to prove the authenticity of the content represented in completed healthcare forms.

This press release contains forward-looking statements within the meaning of section 27A of the Securities Act of 1933 and section 21E of the Securities Act of 1934. When used in this release, the words "believe," "anticipate," "think," "intend," "plan," "will be," "expect," and similar expressions identify such forward-looking statements. Such statements regarding future events and/or the future financial performance of The Company are subject to certain risks and uncertainties, which could cause actual events or the actual future results of the Company to differ materially from any forward-looking statement. Such risks and uncertainties include, among other things, the availability of any needed financing, the Company's ability to implement its business plan for various applications of its technologies, the impact of competition, the management of growth, and the other risks and uncertainties that may be detailed from time to time in the Company's reports filed with the Securities and Exchange Commission. In light of the significant risks and uncertainties inherent in the forward-looking statements included herein, the inclusion of such statements should not be regarded as a representation by the Company or any other person that the objectives and plans of the Company will be achieved.

SOURCE: Authentidate